Crude oil price is preparing to end the fourth week with a decline.
Oil prices are falling. The cost of a barrel of West Texas-type crude oil has dropped more than 2 percent this week.
The US Federal Reserve conveyed that it can tolerate the recession to keep inflation under control while increasing interest rates by 75 basis points at its meeting on Wednesday. On the other hand, some Central Banks such as England, Norway, and South Africa followed the Fed and increased interest rates yesterday.
Oil is heading for a first-quarter loss in more than two years in anticipation of a slowdown in the global economy. This week’s rise in the dollar also makes commodities priced in dollars more expensive for the investor.
Nigerian Energy Minister Timipre Sylva stated that OPEC might cut oil production again if prices continue to decline. OPEC+ cut oil production for the first time in more than a year this month to keep costs from falling due to concerns about a slowdown in the world economy.
The barrel price of West Texas-type crude oil for November delivery decreased by 0.5 percent to $83.04, while the barrel price of Brent oil for November delivery decreased by 0.6 percent to $89.89.
